TOYOTA Industries Corporation (TICO) reported unsettling findings to Toyota Motor Corporation (Toyota) in Japan. These findings involve potential certification irregularities connected to inappropriate domestic emissions certification for engines used in forklifts and construction machinery, which are also shared with a variety of Toyota vehicles sold globally.
TICO, entrusted by Toyota to develop diesel engines for automobiles, received a report from the special investigation committee led by Hiroshi Inoue. The investigation, commissioned by Toyota to TICO,
has unveiled irregularities in the certification process of three diesel engine models for automobiles, including those for earlier versions of the Fortuner, Hilux, and Innova, produced in the Middle East, India and Asia between May to July 2020. Vehicles produced for the Philippine market coming from Toyota Motor Thailand Co., Ltd., are included in the list.
During the certification testing, engines’ horsepower output performance was manipulated using ECUs with different software from mass production, resulting in artificially smoother and less variable performance values. Ten vehicle models globally, including six in Japan, are equipped with these affected engines.
“We have meticulously re-verified mass-produced products at the manufacturing plant and confirmed that the impacted engines and vehicles indeed meet the required engine performance output standards. Consequently, there is no necessity to halt the use of the affected engines or vehicles. Nevertheless, we deeply apologize to our valued customers who have supported these vehicles and endured an extended wait. Our sincere apologies extend to all stakeholders who have experienced significant inconvenience and concern due to these developments,” Inoue said in the press statement following the public announcement.
In light of the investigation’s outcomes, TICO has decided to temporarily halt shipments of the affected engines, and Toyota has likewise opted to suspend shipments of vehicles equipped with these engines. Moving forward, we will offer comprehensive explanations to the authorities and swiftly implement appropriate actions, which may include conducting tests under the observation of independent witnesses when deemed necessary.
Certification is pivotal, as it involves national authorities validating in advance that vehicles meet stringent standards, ensuring peace of mind for customers. The proper certification process is an essential foundation for any automobile manufacturer. We acknowledge the gravity of the situation, as repeated certification irregularities at TICO, following those at Daihatsu, have profoundly shaken the core of our identity as an automobile manufacturer.
“TICO has informed us of their intention to provide exhaustive explanations to the authorities, alongside implementing corrective measures under their guidance, to rebuild trust among customers and stakeholders as a reputable and certified manufacturer,” the press statement continued.
Furthermore, the restructuring of the affected business will require a fundamental shift in the mindset of all individuals, from leadership to employees, and a profound transformation of corporate culture. Such endeavors cannot be accomplished overnight. Consequently, Toyota, in its role as the entity responsible for transferring the diesel engine business, will continue to provide support in the revitalization of TICO’s engine business.
In their capacity as overseers of these tests, they acknowledge the lack of sufficient attention and awareness concerning the deviation from legal and regulatory procedures. Moving forward, they intend to actively engage in all company-wide initiatives aimed at assisting TICO’s recovery and conducting a comprehensive review of the situation to ensure that safety and quality remain paramount in all endeavors.
